India and New Zealand are progressing toward the early conclusion of a balanced, comprehensive, and future-ready Free Trade Agreement (FTA) to strengthen their economic and strategic partnership. After the recent fourth round of negotiations in Auckland and Rotorua, both countries reaffirmed their commitment to advancing discussions on goods, services, investment, and economic cooperation. Commerce Minister Mr Piyush Goyal noted that the FTA would benefit farmers, small businesses, and investors while supporting India’s Viksit Bharat 2047 vision.
With bilateral trade reaching US$1.3 billion in FY 2024–25, the vibrant Indian diaspora and leading Indian companies in New Zealand continue to enhance cultural and economic ties.
According to Union Commerce and Industry Minister Piyush Goyal, India and New Zealand are committed to working towards the early conclusion of a balanced, comprehensive, and mutually beneficial free trade agreement (FTA), reflecting their growing strategic and economic convergence.
CIM Goyal was recently in the island country New Zealand for the fourth round of FTA negotiations between the two nations. The fourth round of negotiations for the India–New Zealand Free Trade Agreement (FTA) concluded on Nov 07, 2025, in Auckland and Rotorua, after five days of constructive and forward-looking discussions between the two sides.
The Union Minister of Commerce and Industry Mr Piyush Goyal and New Zealand’s Minister for Trade Mr. Todd McClay acknowledged the steady progress achieved during this round of talks and reaffirmed their commitment to advancing a modern, comprehensive, and future-ready Free Trade Agreement (FTA).
Delegations of both countries held extensive discussions across key areas, including trade in goods, trade in services, economic and trade cooperation, and rules of origin. The talks also covered goods market access, services, economic and technical cooperation, and investment opportunities. CIM Goyal noted that both negotiating teams are working towards a balanced and future-ready trade agreement that respects mutual sensitivities while strengthening economic ties, fostering new avenues for collaboration, and creating fresh opportunities for businesses and consumers on both sides.
During the visit, CIM Goyal held several meetings with business leaders from both countries to enhance bilateral engagement and strengthen people-to-people connections. He also co-chaired the India–New Zealand CEOs Roundtable in Rotorua, the hometown of his New Zealand counterpart and Minister of Trade, Mr Todd McClay.
Expressing satisfaction at the strong presence of Indian-origin business leaders at the Roundtable, CIM Piyush Goyal encouraged New Zealand companies to build deeper partnerships with Indian industries, describing this collaboration as a “shared journey” that promises long-term value and mutual growth.
The minister also reviewed the ongoing negotiations with Mr McClay and the chief negotiators from both sides. Highlighting India’s dynamic and fast-evolving economic landscape, CIM Goyal underscored that enhanced cooperation in sectors such as technology, agriculture, education, clean energy, and sustainability would unlock new growth avenues and contribute to a stronger, more resilient economic partnership between India and New Zealand.
Describing the agreement as “significant,” CIM Goyal said it would benefit farmers, fishermen, and small business owners in both countries while boosting investment and cooperation in key sectors such as trade, technology, education, defence, space, agriculture, and food processing. He further emphasized that India and New Zealand are not competitors but partners working together to expand their presence in global trade.
CIM Goyal stated that the partnership would be instrumental in advancing India’s long-term economic vision, adding that the agreement would serve as a landmark milestone in supporting the nation’s journey towards Viksit Bharat by 2047. Sharing Mr Goyal’s optimism, New Zealand Trade Minister Mr Todd McClay remarked that the negotiations were advancing at a pace faster than any other trade agreement his country has undertaken.
India’s bilateral merchandise trade with New Zealand reached US$ 1.3 billion in FY 2024–25, reflecting a robust year-on-year growth of nearly 49%. The proposed Free Trade Agreement (FTA) is expected to further expand this partnership by opening new avenues in sectors such as agriculture, food processing, renewable energy, pharmaceuticals, education, and services, creating fresh opportunities for businesses and consumers in both nations.
The Indian diaspora in New Zealand numbers over three lakh, with around 70,000 holding Indian passports. Hindi is the fifth most spoken language in the country. The community is predominantly engaged in professional fields such as medicine, academia, engineering, accountancy, and information technology. Indian associations across major cities actively promote cultural exchange and help preserve the community’s rich heritage.
The Indian diaspora in Auckland noted that there are immense opportunities for collaboration between India and New Zealand in sectors such as tourism, education, AI, digital technology, cybersecurity, and innovation-driven industries like premium beverages, which can further strengthen economic ties between the two nations. They added that the proposed Free Trade Agreement (FTA), once implemented, would significantly enhance bilateral trade and open new avenues for growth. They also noted that promoting joint tech-education initiatives, online learning, and student exchanges between India and New Zealand can equip students to address global challenges together. India remains the second-largest source of international students in New Zealand.
Major Indian companies operating in New Zealand include HCL, Mahindra Motors, Tech Mahindra Ltd, TCS, Infosys, Dr. Reddy’s Laboratories, and Royal Enfield Motors.
The India–New Zealand partnership is poised to enter a new phase of economic and strategic collaboration through the proposed Free Trade Agreement. With strong diaspora ties, growing trade volumes, and shared commitments to innovation, sustainability, and inclusive growth, both nations are charting a path toward a resilient, and future-ready partnership.
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FAQ
What is the objective of the India–New Zealand Free Trade Agreement (FTA)? The FTA aims to create a balanced, comprehensive, and mutually beneficial framework to enhance trade in goods and services, promote investment, and deepen economic cooperation between the two countries. It also supports India’s long-term vision of Viksit Bharat 2047.
Which sectors are likely to benefit the most from the proposed FTA? Key sectors expected to gain include agriculture, food processing, technology, education, renewable energy, pharmaceuticals, and services. The agreement will also open opportunities for collaboration in defence, space, and clean energy.
What is the current value of bilateral trade between India and New Zealand?
Bilateral merchandise trade between India and New Zealand reached US$1.3 billion in FY 2024–25, reflecting nearly 49% growth over the previous year. The FTA is expected to further boost this momentum.
What role does the Indian diaspora play in India–New Zealand relations? With over three lakh people of Indian origin, the Indian diaspora contributes significantly to business, education, and technology sectors. Their active community associations help promote cultural ties and foster bilateral understanding.
How will the FTA impact small businesses and farmers? The agreement is expected to benefit farmers, fishermen, and small business owners by expanding market access, encouraging joint ventures, and creating new export opportunities in agriculture, agri-tech, and value-added products.
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